Mapletree Commercial Trust DPU Rises for 4Q FY15/16

Mapletree Commercial Trust Logo

On 25th April 2016, Mapletree Commercial Trust announces its 4QFY15/16 results. 4QFY15/16 refers to 1st January 2016 to 31st March 2016. Gross revenue increases by 2.8% from S$71 million to S$73 million. Net Property Income (“NPI”) increases by 3.5% from S$53.2 million to S$55 million. Distribution Per Unit (“DPU”) increases 1% from 2 cents to 2.02 cents.

4Q FY15/16
(S$’000)
4Q FY14/15
(S$’000)
YoY(%)
Gross Revenue 72,991 70,980 2.8
Net Property Income 55,044 53,175 3.5
Distributable Amount 42,918 42,151 1.8
Distribution Per Unit (“DPU”) (cents) 2.02 2 1.0

Occupancy

Overall occupancy increase from 95.7% to 96.6%. VivoCity is the only retail mall in Mapletree Commercial Trust portfolio. Shopper traffic grew about 7% and tenant sales grew about 6% in 4Q FY15/16 on a year on-year basis.

As at 31 Mar 2015 As at 31 Mar 2016
VivoCity 97.5% 99.6%
Merrill Lynch Harbourfront (“MLHF”) 100.0% 100.0%
PSA Building 95.4% 92.8%
Mapletree Anson 87.5% 91.0%
MCT Portfolio 95.7% 96.6%

Lease Expiry Profile

Weight Average Lease Expiry (“WALE”) for its office assets is 2.8 years while retail is 2.0 years.

Mapletree Commercial Trust 4Q2015 Lease Expiry

With the positive renewal/restructuring of Bank of America Merrill Lynch’s lease at Merrill Lynch Harbourfront (“MLHF”) in Apr 2016, the office WALE is extended from 2.8 years to 3.5 years.

Mapletree Commercial Trust 4Q2015 Lease Expiry New

Debt

Gearing ratio is 35.1%. Weighted average debt expiry is 3.4 years. Investors need to take note of 29% debt due in FY19/20.

Mapletree Commercial Trust 4Q FY15/16 Debt

Cambridge Industrial Trust DPU Fell for 1Q2016

Cambridge Industrial Trust Logo

Cambridge Industrial Trust announces its 1Q2016 financial results on 28th April 2016. Gross Revenue increased by 3.2% from S$27.5 million to S$28.4 million. Net Property Income (“NPI”) increased by 1.2% from S$21.2 million to S$21.5 million.

However, distribution per unit (“DPU”) fell 9.2% from 1.225 cents to 1.112 cents. If 1Q2015 results was adjusted to reflect management fees wholly paid in cash and no capital distribution for a like-for-like comparison to 1Q2016, DPU registered an increase of 3.8%.

In the financial statement, the manager announce that it will be conducting a strategic review of Cambridge Industrial Trust’s business and operations. As such, the manager has recently appointed Goldman Sachs (Singapore) to assist the Manager in its analysis of certain recent trends and developments in the Singapore REIT sector and the potential implications to Cambridge Industrial Trust.

1Q2016
(S$’mil)
1Q2015
(S$’mil)
YoY(%)
Gross Revenue 28.4 27.5 3.2
Net Property Income 21.5 21.2 1.2
Distributable Amount 14.5 15.7 (7.5)
Distribution Per Unit (“DPU”) (cents) 1.112 1.225 (9.2)

Occupancy

Occupancy remains healthy at 94.1%. The weighted average lease expiry (“WALE”) stands at 3.6 years. Cambridge Industrial Trust has achieved a positive rental reversion of 2.9%.

Debt

Gearing ratio is 37.1%. Weight average debt expiry is 2.9 years. Cambridge Industrial Trust has a well-staggered debt maturity profile, with no refinancing due till FY2017.

Cambridge Industrial Trust Debt Maturity 1Q2016